The city council agenda item that would allow the city to issue notice of intent to issue $62 million of certificates of obligation is another example of the double dealing we are seeing from our city government.
The backup material reads “for the purpose of paying contractual obligations to be incurred for the construction …”.
Can’t stop it
While the backup material says that they want the money to pay for bills to be incurred, the city has evidently already built the projects and rung up the bills. This was printed in the Times the other day:
Mark Sutter, the city’s chief financial officer, who will give a quarterly financial report on Tuesday, said the city has routinely adopted the use of certificates of obligation around this time of year “to reimburse itself for expenditures made on capital project debt authorizations that council has approved for various projects.”
In this case, Sutter said, the $62 million reimbursement covers four authorizations: transportation funding of March 2010, transportation funding of November 2010, short term capital improvement projects of April 2011, and street infrastructure of June 2012.
“The reimbursements cover expenditures since the last resolution (approximately April last year),” he said.
We deserve better
Brutus
Posted by Brutus
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